Halifax gives child savers a rate boost

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Halifax gives child savers a rate boost

Halifax gives child savers a rate boost
Halifax has raised the rate it pays on its Young Saver account to 3 per cent – making it among the top deals in the High Street for children’s savings. Skipton BS pays 2.75 per cent including a 0.5 percentage point bonus for the first year.
Daily Mail, p. 48

Sent packing over Isa cuts
Savers wrong-footed by cuts to cash Isa rates are being fobbed off when they complain to their bank, money mail reports. A growing number are turning to the Financial Ombudsman Service dispute settler, saying they were left in the dark when their rate of return fell.
Daily Mail, p. 50

Now bonuses plunge by 66 pc
It has emerged that banks and building societies are abandoning the bonuses they once used to lure in hard pressed savers. Some big names have slashed these headline offers by as much as two-thirds, while others have ditched them altogether.
Daily Mail, p. 48

Prices set to rise as buyers latch on to cheaper mortgage offers
Bank of England figures showed yesterday that would-be homeowners tempted by cheaper mortgage deals clambered on to the property ladder in increasing numbers during March. The 3 per cent rise in loans to 53,504 reversed two months of decline and was stronger than expected, helped by the Bank’s Funding for Lending Scheme. The average rate charged on new loans was 3.43 per cent, the lowest since January last year.
The Independent, p. 54
Also appeared in : Evening Standard London, p.36, Daily Express, p.31

A loan for a decade
Yorkshire Building Society is offering a ten-year mortgage deal fixed at 3.99%.
Daily Mail, p. 49

Five million to become TSB customers
It has emerged that the Co-op has pulled the plug on a £750million deal to buy 632 Lloyds branches that would have made the Co-op Britain’s sixth-biggest bank. Five million Lloyds customers had already been told they would be moving to TSB – the old Trustee Savings Bank which Lloyds owns, but has not been on the high street since 1995.
Daily Mail, p. 49

Lloyds reports £2bn profits as it creeps back toward private sector
António Horta-Osório, chief executive of Lloyds Banking Group, yesterday claimed that the firm is making “substantial progress” in its attempts to return to the private sector, as it reported a sharp rise in first-quarter profits to £2bn.
The Guardian, p. 23
Also appeared in : City AM London, p.18, Evening Standard London, p.38, The Times, p.2, The Independent, p.20, The Independent, p.50, The Daily Telegraph Business, p.2, The Daily Telegraph Business, p.1-3, Metro London, p.45, City AM London, p.3, Financial Times Companies and Markets, p.22, Independent i, p.41, Daily Express, p.50, Evening Standard London, p.37, Daily Mail, p.8, Daily Mail, p.65, Daily Mail, p.67, Daily Mail, p.14, The Independent, p.53, Daily Mirror, p.42

Being too tough on City may choke UK’s recovery, Osborne warns Bank
George Osborne yesterday sent a letter to the Bank of England’s financial policy committee, warning its members to take account of the impact of its actions on “near-term economic recovery” when deciding on the regime under which banks operate.
The Guardian, p. 2
Also appeared in : The Times, p.33, City AM London, p.2, The Daily Telegraph Business, p.5, Financial Times, p.2, Financial Times, p.1, Daily Mail, p.65

Eurozone jobless rise raises hopes of rate cut
This week pressure on the European Central Bank to cut interest rates has intensified after official statistics yesterday showed that unemployment in the recession-stricken eurozone has reached a record 12.1 per cent, while the rate of inflation has declined to just 1.2 per cent.
The Independent, p. 53
Also appeared in : Evening Standard London, p.35, The Daily Telegraph Business, p.4, Independent i, p.40, Financial Times Companies and Markets, p.32, Financial Times, p.8, The Guardian, p.21

UBS back in the black in first quarter
UBS the Swiss bank has surprised investors with a higher than expected rise in profits as a retructuring that will see 10,000 jobs go began to take effect. “It’s too early to declare victory, but it’s good to see we’re gaining momentum,” the chief executive, Sergio Ermotti said. “We have shown our business model works in practice. Although markets improved, we still saw challenges, so I’m very pleased with our performance.”
The Independent, p. 54-55
Also appeared in : City AM London, p.4, Independent i, p.42, Financial Times Companies and Markets, p.17, Financial Times, p.16, Evening Standard London, p.39, Financial Times Companies and Markets, p.34

RBS compensation
Two American subsidiaries of Royal Bank of Scotland have been ordered by US bank regulators to pay $13.9 million to settle civil penalties and pay compensation over allegations that they misled customers with their overdraft and rewards programmes.
The Times, p. 33
Also appeared in : City AM London, p.7, The Independent, p.54, Independent i, p.42

Cable urges decision on boardroom ban for Goodwin
The Business Secretary Vince Cable has put pressure on Scottish prosecutors to speed up action which could see Fred Goodwin and other former Royal Bank of Scotland directors disqualified for their roles in the bank’s collapse. Mr Cable has written to Lord Wallace, the Government’s chief legal adviser in Scotland, demanding to know when a decision will be made on whether to ban the former bankers from sitting on company boards. A Financial Services Authority report into RBS found that its directors made a number of poor decisions in the run-up to the Government’s £45bn bail-out of the bank, particularly in relation to its disastrous multi-billion pound acquisition of Dutch rival ABN Amro.
The Daily Telegraph Business, p. 1
Also appeared in : Financial Times, p.4

Cyprus parliament backs international bailout
The Cypriot government has narrowly backed a €10bn international bailout amid angry calls by the communist opposition for a referendum on leaving the euro.
This abstract from the Financial Times was produced by Kantar Media
Financial Times, p. 9
Also appeared in : The Guardian, p.21

Exports rise but national output shrinks by 0.5% in first quarter
Spain has recorded negative growth for the first quarter of 2013, due to a contraction of consumer spending, employment levels and forecasts of falling house prices.
The Guardian, p. 21

Mystery of the eurozone’s most valuable bank (for one day only)
Yesterday traders and analysts were left baffled after struggling Spanish lender Bankia briefly became the most valuable bank in the eurozone as its shares soared by more than 700pc. The share price rise began just before 10am and in just over an hour Bankia’s market value had increased by 756pc. It then gradually fell back throughout the remainder of the trading session. At its peak, the market value of Bankia reached €94bn (£79bn), close to the combined capitalisation of Spain’s two largest banks, Santander and BBVA.
The Daily Telegraph Business, p. 3

Bank’s Miles sees inflation near two per cent goal by end of year
Bank of England policymaker David Miles has said he expects inflation to be close to two per cent by the end of this year, substantially below what the central bank forecast in February.
City AM London, p. 7

SME lending up for first time since mid-2011
Small business lending has increased for the first time in almost two years in a new sign that the Bank of England’s funding for lending scheme (FLS) may be having an effect at last, Bank figures revealed yesterday.
City AM London, p. 7

Itaú buoyed by reduced exposure to bad loans
Itaú-Unibanco, Latin America’s biggest lender, yesterday reported recurring net income of R$3.51bn.
This abstract from the Financial Times was produced by Kantar Media
Financial Times Companies and Markets, p. 18

Recovery hopes rise with lending easier for business and homes
In March lending conditions for households and businesses improved, boosting hopes that the recovery has taken root at last. Bank of England figures showed that mortgage approvals rose to 53,504 from 51,947 in February, beating the consensus forecast by almost 1,000. At the same time, lending to small and medium sized businesses, excluding overdrafts, increased by £239m – the first rise since August 2011.
The Daily Telegraph Business, p. 5

Eurozone left in danger of Japanese-style deflation era
It has been announced that the eurozone is one shock away from a Japan-style deflation crisis after a key measure of prices fell to the lowest since the launch of the single currency. The region’s core inflation rate – which strips out food and energy – fell to 1pc in March. This is far below expectations and leaves monetary union with a diminishing safety buffer. “The eurozone is tracking the experience in Japan in mid-1990s, there is a very high risk of a slide into deflation,” said Lars Christensen, a monetary theorist at Danske Bank. “The European Central Bank [ECB] should be concerned. If there is another severe shock, the eurozone faces a much bigger risk of falling into a deflationary trap,” said Julian Callow, global strategist at Barclays.
The Daily Telegraph Business, p. 4

CFTC calls on banks to show compliance
The US Commodity Futures Trading Commission (CFTC) has written to a host of global banks asking them for proof they are complying with sections of the Dodd-Frank Act.
City AM London, p. 7

Chinese bank-card firm launches in US
China UnionPay, China’s leading bank-card firm, has launched its first card in the United States in a bid to increase its international presence.
Independent i, p. 41

The above articles appeared on 01/05/13 reproduced with the kind permission of Kantar Media UK. All rights reserved.

Charterbridge Private Financial Planning, Independent Financial Advice, Thornbury, Bristol.